Source: ZF announcerment
Friedrichshafen, Germany — ZF concluded the first half of 2021 with positive sales and earnings figures. In contrast to the first half of 2020, which was significantly impacted by the Covid-19 pandemic, the company generated sales of €19.3 billion (2020: €13.5 billion) in the first six months of this year.
Year over year, this corresponds to a sales increase of 43 percent. Adjusted EBIT stood at €1.0 billion (2020: minus €177 million). The positive business development contrasts with an overall difficult and volatile international market environment.
“We took the momentum from the second half of 2020 into this year and benefited from the economic recovery of the automotive industry,” said Wolf-Henning Scheider, Chief Executive Officer of ZF, when presenting the half-year figures on Thursday. “At the same time, we have continuously developed our organization in terms of agile cooperation and secured numerous new orders with innovative technologies for lowering emissions and enhancing vehicle safety.”
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In addition to continuing work under pandemic conditions, the first half of the year was characterized by immediate effects such as the semiconductor shortage and interrupted supply chains, as well as price increases for raw materials and logistics services. ZF has therefore partially re-adjusted its supply chains and shortened them by increasingly involving local suppliers.
“In addition, longer-term trends are accelerating, which is evident in Europe through new highly ambitious CO2 emissions limits,” said Scheider. “While this increases the demand for all-electric drives, it will be very difficult to strike a balance between climate protection, employment, and people’s mobility needs. A clear plan for infrastructure development – from power generation and power grids to the charging infrastructure – is essential in helping determine the path forward.”
ZF has made progress in recent months with the “Tarifvertrag
Transformation,” a collective agreement concluded a year ago with the works council and trade unions. In this context, discussions are underway at the German locations to develop objectives for their future orientation. “Here, we are making use of the time the collective agreement gives us until the end of 2022.
Together with the employee representatives, we are developing sound plans for the locations. We have already been able to develop promising solutions for most of them,” emphasized Scheider. To view the entire announcement, click HERE